An initiative to foster technological and digital innovation is being approved by the Togo government on January 11, 2023.
The executive branch met in the Council of Ministers and passed “the preliminary drafted law relating to the development of the innovation or startup ecosystem in Togo.” A few weeks earlier, it had been taken into account at first reading before (Wednesday, December 21, 2022).
Approaching a “Tech” Label
In the area of technology, the text’s stated objective is to “enhance Togo’s innovation ecosystem by providing a tagging mechanism for startups and businesses.” Victoire Tomegah – Dogbe’s stated in a news release that this labeling will be carried out in accordance with “objective norms.” The CEO stated that these standards would be based on “creativity, innovation, the creation of high added value, as well as growth potential.”
In order to benefit both citizens and businesses, the document will work to create an environment that is conducive to “modernizing the Togolese economy,” particularly through the growth of digital activities in the public and commercial sectors.
Customs and tax incentives
In particular, the law would create a tax and customs incentive framework to promote the uptake and development of digital technology. Additionally, “actions helpful to the development of tech firms under Togolese legislation” would be taken, albeit their specifics are yet unknown.
While Togo currently lacks many leaders in the tech and digital technology fields, it does have a number of players, particularly in the financial technology (fintech) space. Examples of these players include Semoa, which provides mobile banking and digital ticketing solutions both domestically and abroad, and DizzitUp, a recent finalist in the Ecobank Fintech Challenge.